Problem 6-58 Name:
Insert your answers in the gray-shaded cells of columns C, E, G, and I. If an answer is
incorrect, an asterisk will appear.
a.
Production Data: Units
Beginning inventory 8,000
Units started 36,000
Units to account for 44,000
Units Material Conversion
Beginning WIP inventory 8,000 8,000 8,000
Started & completed 32,400 32,400 32,400
Ending WIP inventory 3,600 3,600 2,520
Units accounted for 44,000 44,000 42,920
Cost Data: Total Material Conversion
Beginning WIP inventory 373,000$ 293,000$ 80,000$
Current costs 2,672,440 1,379,000 1,293,440
Total costs to account for 3,045,440$ 1,672,000$ 1,373,440$
Divided by EUP 44,000 42,920
Cost per EUP 70.00$ 38.00$ 32.00$
Cost Assignment: Units Cost
Transferred out 40,400 x 70.00$
Ending inventory:
Materials 3,600 x 38.00$ 136,800$
Conversion 2,520 x 32.00$ 80,640
Total cost accounted for
b.
Production Data: Units
Beginning WIP inventory 2,500
Units started 40,400
Units to account for 42,900
Units Trans. In Material
Beginning WIP inventory 2,500 2,500 2,500
Solution
Cost of Production Report
For the Month of October 31, 2013
Always Christmas Cutting Dept.
Cost of Production Report
For the Month of October 31, 2013
Always Christmas Boxing Dept.
Started & completed 39,200 39,200 39,200
Ending WIP inventory 1,200 1,200 –
Units accounted for 42,900 42,900 41,700
Cost Data: Total Trans. In Material
Cost in BI 173,413$ 166,420$ –$
Current costs 3,457,760 2,828,000 383,640
Total to account for 3,631,173$ 2,994,420$ 383,640$
Divided by EUP 42,900 41,700
Cost per EUP 84.95$ 69.80$ 9.20$
Cost Assignment: Units Cost
Transferred out 41,700 x 84.95$
Ending inventory:
Materials 1,200 x 69.80$ 83,760$
Conversion 840 x 5.95$ 4,998
Total cost accounted for
Insert your answers in the gray–shaded cells of columns C, E, G, and I. If an answer is
2,828,000$
217,440
3,045,440$
Conversion
2,500
Solution
Cost of Production Report
For the Month of October 31, 2013
Always Christmas Cutting Dept.
Cost of Production Report
For the Month of October 31, 2013
Always Christmas Boxing Dept.
39,200
840
42,540
Conversion
6,993$
246,120
253,113$
42,540
5.95$
3,542,415$
88,758
3,631,173$